In the week ending June 18, global equity funds experienced a significant capital outflow, with investors withdrawing $19.82 billion amid escalating geopolitical tensions and growing uncertainty around U.S. trade policy, reports Baltimore Chronicle citing Reuters.
This marks the largest weekly outflow in the past three months. U.S.-based investment funds were hit the hardest, losing $18.43 billion. Asian markets saw a capital withdrawal of $2.86 billion, while European funds bucked the trend, recording a net inflow of $640 million.
Despite the general downturn, sector-focused equity funds managed to attract $573 million. The technology sector led the way with $1.5 billion in inflows, followed by the industrial sector with $752 million. Meanwhile, financial sector funds recorded nearly $1.5 billion in outflows.
Bond funds globally have shown sustained investor interest for the ninth consecutive week. Over the past seven days, they brought in $13.13 billion, including $3.07 billion into euro-denominated bond funds.
Money market funds saw a reduction of $2.7 billion, whereas gold funds recorded a notable inflow of $2.84 billion — the highest in the past two months.
Earlier we wrote about how early investors are making big gains.